As clear on chart, the price has been in a down trend for the past few months. forming consistent lower highs and lower lows..
First Scenario:
At the moment, the price is retesting the descending resistance for a falling wedge pattern , so far its holding and no bullish breakout. The price also faces 0.7080 horizontal resistance. I see a potential for another downside dip here.
That would make shorting below 0.7080 a valid trade, with first target at 0.7020 followed by 0.6950 and a stop above 0.7140.
Alternative scenario
The price could be heading for a bullish breakout of the falling wedge pattern. If that breakout materializes, i will be looking for long confirmation above 0.7130. targeting 0.7230.
My best regards
Technician
Subscribe to my trading portal thefxchannel.com
First Scenario:
At the moment, the price is retesting the descending resistance for a falling wedge pattern , so far its holding and no bullish breakout. The price also faces 0.7080 horizontal resistance. I see a potential for another downside dip here.
That would make shorting below 0.7080 a valid trade, with first target at 0.7020 followed by 0.6950 and a stop above 0.7140.
Alternative scenario
The price could be heading for a bullish breakout of the falling wedge pattern. If that breakout materializes, i will be looking for long confirmation above 0.7130. targeting 0.7230.
My best regards
Technician
Subscribe to my trading portal thefxchannel.com